Refer to the information provided in Figure 13.11 below to answer the question(s) that follow.
Figure 13.11Refer to Figure 13.11. Suppose a monopolist faces the demand and costs in the figure and is able to perfectly price discriminate. If the monopoly supplies 400 widgets, it will
A. maximize profits.
B. suffer an economic loss.
C. earn a profit, but less than it would earn if it produced 500 widgets.
D. break even.
Answer: A
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